Why Kenya should harness power of sport

Sportpesa Formula One [Courtesy]

Sport events and attractions, which encourage both participants and spectators are increasingly becoming significant contributors to the tourism economy according to a wide range of studies.

A case closer home is the SportPesa Cup that is contested between Kenyan and Tanzanian football clubs where respective fans follow their favourite teams across the border.

When Kenya hosted the SportPesa Cup in Nakuru last year, Tanzania was represented by Yanga, Simba and Singida which boast huge following. Nakuru witnessed a huge influx of foreigners mainly from Tanzania for obvious reason of supporting their teams.

Tourism statistics in the past year interestingly showed Tanzania as the second highest tourism source market for Kenya, overtaking the United Kingdom and Uganda, which were the second and third largest source markets in 2017.

Kenya, received 212 000 Tanzanians crossing over for business and pleasure, despite sustained cold relations between the two neighbours. This is a major jump from 25 800 Tanzanian tourists coming to Kenya in 2017 according to the statistics.

It would not surprise anyone if part of the huge rise between the two countries was down to sports tourism too.

On a global scale, travel and tourism sector has among the largest sponsorship outlay in sport. A number of countries have become prominent spenders with Azerbaijan, Malaysia and Qatar topping the list. The countries reportedly spend hundreds of million dollars on multiple sports rights annually to market their nations.

Airlines, global hotel chains and other tourism companies have also increased their sponsorship spend. The most noticeable trends over the past few years remains the emergence of tourism boards partnering with sports rights holders. From cash rich destinations such as Qatar to smaller provinces such as Trentino, destinations are embracing sport by forming strategic alliances that go beyond hosting events.

Across the five major football leagues in Europe, 25 clubs have signed partnerships with a tourism authority. Champions League clubs PSG (Qatar Tourism Authority) and Manchester City (Abu Dhabi Tourism Authority) boast the largest deals, which is unsurprising given the size of their fan bases and the global exposure both teams receive.

The deals also follow the trend of club owners signing deals with their country of origin which is becoming increasingly common with the rise in foreign businessmen investing in European football clubs.

Neighbours Tanzania and Rwanda have already followed suit, with Rwanda spending a whopping Sh2.6 billion (20 million sterling pounds) on adverting the country on the jersey sleeve of English Premier League (EPL) side Arsenal. Tanzania also did pump money through the English club, Sunderland.

Kenya can also count itself in, thanks to SportPesa, which through its vast sponsorships in foreign countries, has put the name of the country where it originated, on the global map.

SportPesa are currently the main sponsors of EPL side Everton and Championships side Hull City, but also has stakes in Arsenal and Southampton.

In Italy, the gaming company, which began its operations in Kenya in 2015, sponsors Serie A side Torino. They have also ventured into the Spanish La Liga as well, not to mention their presence in the South

African top league through Cape Town City FC. Last week they unveiled their latest sponsorship deal; an estimated multi-billion shilling arrangement with Formula1 team Racing Point, which will now be referred to as the SportPesa Racing Point Formula 1.

For destinations, it is no longer just about hosting major events; governments and tourism authorities now understand the power of sport and the effectiveness of sponsorship as a marketing tool to enhance the economy, image and quality of life for their residents. Their sport tourism and wider commercial strategies must now include strategic alliances and a calendar of events that keep visitors coming back year after year.

 

— The writer is a Sports Marketing Consultant